Oregon Public Employees Retirement Fund, Salem, hired Putnam Advisory and Arrowstreet Capital to manage $175 million each in active international equities, said Mike Mueller, interim director of investments. Funding will come from reducing a nearly $2 billion passive MSCI EAFE plus Canada index portfolio run by Barclays Global Investors.
The change will move the $33 billion system closer to its targeted 70% active-30% passive split for its $5.4 billion international stock allocation. Frank Russell assisted.
Separately, Oregon committed $100 million to Leonard Green Equity Investors, a middle-market buyout fund; PCG assisted. Also, $50 million was committed to Fortress Fund II, a global distressed real estate fund, but staff can raise the commitment to $100 million, pending the outcome of a due diligence effort. PCA advised.
The systems board also extended consulting contracts of Frank Russell, PCA and PCG for another year, through Dec. 31, 2003.